The long run is a period of time, or a time frame, in which        all resources are fixed.        the level of output is fixed.        the amount of all resources can be varied.        the capacity of the production plant is fixed.

Economic cost can best be defined as Multiple Choice any contractual obligation that results in a flow of money expenditures from an enterprise to resource suppliers. any contractual obligation to labor or material suppliers. a payment that must be made to obtain and retain the services of a resource. all costs exclusive of payments to fixed factors of production.

There is economies of scale if the average cost of production is lower for bigger scale of operations compared to the average cost of production for smaller scale of operations True False

Average total cost decreases when marginal cost is average total cost. less than greater than equal to